GANGTOK: Finance Minister Nirmala Sitharaman is on a visit to Sikkim as part of the post-Financial Budget Outreach program for 2023.
The Finance Minister held an interaction with stakeholders, officers, chambers of commerce, SHGs, and entrepreneurs at Chintan Bhawan in Gangtok on Monday. Terming her visit to Sikkim as the ‘Gateway to the Northeast’ for the Budget outreach program, Sitharman interacted with the media following her interaction.
On the Budget Outreach program in Sikkim, Sitharaman stated, “In the last four-five years, post the budget, we made it a practice to have the entire Ministry move around the country to various cities and there interact with the stakeholders, officers, and chambers of commerce, SHGs, and so on to understand what are they have perceived of the budget and if they need clarity. They could have an exchange of ideas, the first time I did it in 2019 I found it very useful. We were able to explain the budget in detail and sometimes, some ideas were given that we found very useful which we could carry forward. So in that process, this year, after the Budget was submitted, we had already covered Hyderabad, Bhubaneswar, Jaipur, and Mumbai. Now we are here to Sikkim as a gateway of Northeast, so for the Northeast region, this year’s budget outreach program we have come to Gangtok.”
Sitharaman will also be virtually inaugurating the Yangang Ropeway Project virtually on Tuesday. On the successful completion of the ambitious tourism project in Namchi district, Sitharaman stated, “I will be launching the ropeway via video conference, from Dhapper to Bhaleydhunga in Yangyang tomorrow. The project is a beneficiary of the PM DevINE which came last year. So you are seeing results of allocations made for capital expenditure through the PM DevINE. This is a classic example and another project for which the foundation is being laid tomorrow again is a direct beneficiary of the PM DevINE scheme.”
On the ongoing debate over Income Tax exemption for old settlers in the January 13 Supreme Court verdict, Sitharaman stated, “Immediately after the judgment came out, it was the Union government which approached the Supreme Court and said please expunge the remarks which were not germane to the question which was being discussed. Through the immediate response and action of the Central government, that has been removed, in other words, the intent of the Central government to respect the privileges and rights of the Sikkimese has been kept intact. The Centre responded to the situation immediately without any delay so that proves our intent and you can be assured. I wish to assure the people of Sikkim that nothing has changed as regards Sikkimese, the court case had already been dealt with.”
On being questioned over the closing of International border trade along the Indo-China border in Nathula, Sitharaman stated, “This issue was raised in the meeting today and we have taken note of the request. It was shut down in 2020 after that it has not been reopened. If it is kept open we have taken note of it but that is the business of the Home ministry, we will certainly convey to the Home ministry.”
In terms of devolution of central taxes, Sikkim received the lowest share in the country at Rs. 3963.23 crores in the past year. However, the finance secretary TV Somanathan went on to inform about Sikkim receiving the highest devolution of central taxes. Somanathan stated, “In terms of per capita basis, Sikkim gets the highest devolution of Central taxes, you cannot look into the absolute number, you have to compare with the population of Sikkim. If you compare with other heavily populated States, Sikkim actually gets the highest devolution in the country, the reason may be the absolute number is small because the population is small.”
Finance Secretary TV Somanathan, who was alongside the Finance Minister, on being asked about how the budget would impact Northeast India, informed, “The schemes for the North East Council, the outlay has gone up from Rs 644 crore in 2022-23 to Rs 800 crore in the current budget. The Northeast infrastructure development schemes including roads have gone up from Rs 1419 crore in 2022-23 to Rs 2491 crore, for the PM DevINE which had Rs 400 crore in the revised estimate is going up to Rs. 2200 Crore in coming years. In addition to this under the scheme of 50-year interest-free loans to States for capital expenditure, there is an increase of 30% and Sikkim is one of the States which gets disproportionately higher allocation. For many of the States, we give it based on the share which they get under the Finance Commission but for the NE States, the Government of India has decided to give more than the proportionate share. Sikkim will be a major beneficiary in the increase in loans for capital investment by States, this is in addition to other ongoing developmental programmes. The increase in the budget for infrastructure particularly for roads will also benefit the NHIDCL.”
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On the connectivity of villages through PM Gram Sadak Yojana, the Finance Ministry informed, “Sikkim has its own challenges but heliports can be constructed, the budget announces 50 helipads. Connectivity also means digital connectivity, the focus is equally given to the border villages through optic fibre but making sure that panchayats, schools and PHCs can get connectivity, other services can follow, and students can get online classes.”
The Union Finance Minister lauded the state to be the first State in India to fully adopt organic farming. She urged the State Government to prepare a clear action plan for supporting organic farming in the state after consultation with all the stakeholders.
The Minister will also visit the border villages in Lachen during her visit to understand the saturation of the schemes through the banking sector to the beneficiaries and the items proposed under the ‘Vibrant Villages’ programme are being fulfilled.
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